PepsiCo is investing $1.2bn (£0.7bn) in a global overhaul of its marketing strategy, which has started with the launch of a new Pepsi logo. In the UK, its Tropicana brand is also believed to be undergoing a major rebrand.
The new Pepsi logo (pictured), which introduces a “smile” theme, has launched across Pepsi, Diet Pepsi and Pepsi Max bottles and cans as part of a new overarching brand personality
Omnicom Group’s Arnell developed the new logo and is also working on the redesign of the brand’s packaging graphics. Mountain Dew will also be rebranded as Mtn Dew.
The move has called into question the stranglehold sister Omnicom agency BBDO has over the Pepsi business. It has been the lead agency on the business since the Sixites.
So far, the drinks giant has not confirmed any official review of its roster of agencies and further changes to its marketing strategy are yet to be revealed.
PepsiCo chainman and chief executive Indra Nooyi, has said the £1.2bn push in its carbonated drinks has been done as a necessity in the face of slowing sales and “in large part because the economic slowdown continues to pressure the North American liquid refreshment beverage category”.
The investment over the next three years will in part come from the axing over some 3,300 jobs around the world.
In the UK, its juice line Tropicana is undergoing a packaging redesign, which Landor Associates is understood to be handling. PepsiCo’s Gatorade brand will also undergo a redesign, though it is not clear as yet if Landor will be overseeing the changes.
PepsiCo’s move comes in the wake of Coca-Cola’s plans to cut up to $500m (£250.7m) in global costs by 2011. It will involve the shake up and consolidation of its agency rosters.
Over the past two months, it has appointed Mother to handle the £35m pan-European account for Diet Coke following a pitch. Coke has also appointed Fallon to handle the pan-European ad account for its Powerade brand.
There is also understood to be a global ad review for Coke’s vitamin water, Glaceau.